13. Chi-Square Tests & Goodness of Fit / Goodness of Fit Test / Problem 9
Problem 9
A forensic accountant is examining sales invoices from a company suspected of financial irregularities. She records the leading digits of each invoice amount and compares the observed distribution to Benford’s Law, which describes the expected frequency of leading digits in naturally occurring datasets. The observed frequencies and Benford’s expected percentages are shown below: At the significance level, test whether the observed digit distribution follows Benford’s Law.